Lawpath has introduced Lawpath AI, the artificial intelligence tool designed to combat the growing issue of contract blindness, empowering them to easily navigate complex legal contracts.
Lawpath’s research reveals a concerning trend of contract blindness, with a concerning number of business owners signing contracts they don’t understand.
Recent data of 6,889 users on the Lawpath platform showed the median time for a business to sign a contract they were issued was just over 2 minutes.
Alarmingly, 1 in 5 business owners signed contracts in under 60 seconds, leaving them vulnerable to potential risks.
Dominic Woolrych, CEO of Lawpath, expresses concern at the growing number of small businesses needing to thoroughly review contracts before signing, given their complexity and overwhelming nature.
“Too many people are signing contracts without fully understanding what they’re committing to, causing a host of issues. Our new AI solution tackles this pervasive issue head-on, simplifying the contract review process and enabling users to grasp the terms they agree to. We aim to reduce the risk of contractual misunderstandings and empower individuals and businesses with the knowledge and protection they need.”
Demand for contract review services is increasing among business owners who engage in legal help.
Recent data from Lawpath shows 19% year-on-year growth in contract review requests, with 39% of the 5,000+ legal consultation requests in the past 12 months specifically relating to contract reviews.
These numbers underscore the prevalence of contract blindness and the reliance on legal professionals to review contracts.
Lawpath is now bridging this gap by offering affordable access via AI technology, ensuring that complex contracts are fully understood.
In the past, small businesses often faced inaccessible and costly legal support, resulting in signing documents they didn’t comprehend and leaving them vulnerable to harm.
However, with the launch of Lawpath AI, all of that is about to change.
For the first time, small businesses gain access to an AI legal assistant that provides instant, clear and concise explanations of contracts, even translating them into 31 languages.
A recent report by Goldman Sachs revealed that up to 44% of legal tasks could be completed by AI, which rapidly accelerates automation and cuts costs.
While law firms use this technology, it is only offered to customers now.
Lawpath AI has the potential to revolutionise the legal industry and be a great equaliser for small businesses that traditionally couldn’t afford lawyers to review contracts and were agreeing to unfair terms they needed to understand.
Lawpath AI is unique from all other open-source AI technology because it is trained on thousands of legal documents and millions of legal data points from Lawpath’s platform, providing tailored results based on a business’s unique DNA.
It can review tenancy agreements so small businesses know when a landlord can increase rent, do development work or evict tenants.
It also reviews employment agreements, privacy policies, supplier agreements, and more.
